Tioga skyrockets 42% on chip deal with Cisco as Wall Street registers mild gains - TheStreet

Israeli shares on Wall Street are up overall, with a huge gain registered by Tioga Technologies (Nasdaq:TIGA). The company's stock has skyrocketed 42.3% to $2.3 after the firm today announced its progress in developing a network communications chip together with giant communications company

Cisco Systems

(Nasdaq:CSCO). Yesterday Tioga announced the resignation of its President and CEO Thomas E. Sennhauser. This had negatively impacted on the shares of the parent company

Orckit Communications

(Nasdaq:ORCT), which fell 8.3%.

Despite having opened on a downward trend this Tuesday, Wall Street's mood has now shifted. The Nasdaq Composite index is now up by 0.7% and the Dow Jones has risen by 0.4%.

The change in the blue chip index may be due to the sunny fourth quarter results for 2000 posted by investment house

Merrill Lynch

(NYSE:MEL), which is up by 3.5%.

Israeli shares on Wall Street are up overall. But not

ECI Telecom

(Nasdaq:ECIL), which has dropped 12.9% to $13.5 after the company yesterday released its second profit warning for 2000. ECI's revenues for 2000 are expected to reach between $1.16 billion to $1.17 billion. That's considerably short of analysts' forecasts of $1.3 billion.

ECI's management has also announced that it intends delaying the flotation of its five subsidiaries. Jonathan Kolber, CEO of

Koor Industries

(Nasdaq:KOR), ECI's parent company, said that the flotations may not take place at all during 2001, given the current market conditions.

The DSPG Group (Nasdaq:DSPG) is up 6.6% to $26.1. Just after yesterday's closing the firm released its financial results for the fourth quarter of 2000, which were in line with earlier predictions. But today, the company slashed its forecasts for 2001.

The firm says it has been affected by the general market slump, and analysts have downgraded their forecasts for 2001 accordingly. Investment house J.P. Morgan H&Q now forecasts $125 million in sales for the group, with an EPS of $1.11. That's in contrast to a previous sales forecast of $144 million and an EPS of $1.3.

WR Hambrecht

has forecast that DSPG shares will not rise significantly during the first half of 2001, but reiterated its price target of $35, which is 43% higher than stock's opening price today. The bank is sticking with its price target as it expects an improvement during the second half of 2001.

AudioCodes

(Nasdaq:AUDC) is down 3.9% to $15.5 after releasing its results for the fourth quarter of 2000 earlier today. Sales reached $22.5 million, which is 130% more than in the same quarter of 1999, and the firm's net profit reached $8 million. The results are in line with analysts' revenue forecasts. The EPS is 19 cents, which is also in line with analyst forecasts.

The company said that it expects a 36.1% growth in revenues in 2001, which falls short of analyst forecasts.

Merrill Lynch

(NYSE:MEL) had recently predicted a growth rate of 51%, and at the beginning of the year that prediction was even higher at 75%.

M-Systems Flash Disk Pioneers

(Nasdaq:FLSH) yesterday released its results for the fourth quarter of 2000. Its shares are now down 6.5% to $12.6. Although the company met its revenue and earnings forecast for the fourth quarter of 2000, the firm's executive yesterday warned that revenues in 2001 would be sharply lower. Consequently,

Salomon Smith Barney

has downgraded its rating from a Buy to an Outperform, and slashed their price target from $80 to $18, which is still 45% above stock's current market price.

Gilat Satellite Networks

(Nasdaq:GILTF) is trading up 7.7% to $38.2, and

Precise Software Solutions

(Nasdaq:PRSE) has added 7.2% to $21.5.

RadVision

(Nasdaq:RVSN) has shot up 5.2% to $14.7.